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Assessing agricultural trade policies options with the European Union: A Brazilian perspective
Abstract
Brazil has shown interest in agricultural trade negotiations at bilateral, regional, and multilateral levels. This study addresses several important negotiations, using the agricultural sector model CAPRI (Common Agricultural Policy Regional Impact Analysis), to analyze liberalization scenarios between the European Union and the Mercosur countries focusing particularly on their impacts in Brazil. Four possible agreements between Europe and Mercosur are simulated, including a broader multilateral agreement proposed in the G20. The results suggest that a bilateral scenario involving larger tariff rate quota increase, as called for by Mercosur, generates larger gains than accepting the European Union proposal of 2004 or further multilateral trade liberalization based on the G20 proposal. However, much larger increases in tariff rate quotas for all products are not necessarily justified in all cases. Moreover, Brazil's production and export potential is limited by factors other than trade restrictions. Copyright (c) 2009 International Association of Agricultural Economists.
... Le analisi delle nuove politiche commerciali internazionali si sono concentrate sugli effetti nell'area euro-mediterranea (Britz et al., 2007a;Britz e Jacquet, 2006), e su aspetti come la compatibilità dei processi di negoziazione del Doha round con le strategie di disaccoppiamento dei sussidi contenute nella riforma stessa (Britz et al., 2006a). Il commercio internazionale è stato oggetto di numerosi studi anche negli anni successivi, interessando in modo particolare gli scambi con i Paesi dell'area Mercosur (Weissleder et al., 2008a, b;Piketty et al., 2009). ...
... Altri studi, invece, hanno avuto come fulcro le dinamiche legate al commercio internazionale (Piketty et al., 2009;Adenaeuer et al., 2007) o ancora le diverse opzioni di disaccoppiamento dei sussidi e di modulazione previste dalla PAC Perez and Wieck, 2006) nel corso del tempo. ...
... For instance, in international climate negotiations, US unwillingness to compromise has been credited partly to its decreasing status as a world power and fears of being overtaken by emerging economies, notably China (Gupta 2010;. Finally, agriculture, too, is perceived by many countries as a strategic sector for employment creation, foreign exchange earnings, or cultural and landscape conservation (see Potter 2006;Piketty et al. 2009). Unsurprisingly, it has hindered advances in the Doha Round of negotiations under the WTO, which is ongoing since 2001 (Clapp 2006). ...
This book addresses the underexposed political dimensions of bioeconomy promotion. Who wins and who loses? How are institutions being shaped, and by whom? Drawing from experiences since the earlier days of biofuels promotion, it explores in unprecedented detail the global drive away from fossil fuels and towards a biomass-based economy.
Multipurpose agriculture gains ever more traction as countries create new bio-based value chains – or, rather, value webs. Governance, in this regard, proves to be key for steering developments towards inclusive agri-food-biomass systems instead of fueling just a handful of “flex crops” ridden with social equity and other environmental issues.
Based on a rich global-level analysis of bioeconomy promotion and three in-depth case studies of key emerging economies (Brazil, India and Indonesia), the book also innovatively examines sustainability politics in Global South democracies.
Ultimately, this book is about finding the politics for a fairer bioeconomy in the years and decades to come.
... For instance, in international climate negotiations, US unwillingness to compromise has been credited partly to its decreasing status as a world power and fears of being overtaken by emerging economies, notably China (Gupta 2010;Hurrell and Sengupta 2012;Roberts 2011). Finally, agriculture, too, is perceived by many countries as a strategic sector for employment creation, foreign exchange earnings, or cultural and landscape conservation (see Potter 2006;Piketty et al. 2009). Unsurprisingly, it has hindered advances in the Doha Round of negotiations under the WTO, which is ongoing since 2001 (Clapp 2006). ...
Bioeconomies are yet to meet their sustainable development potentials. Thus far, mostly unsustainable production has prevailed, due to reasons on four different levels. First, domestic regulatory and economic incentives have favored conventional, input-intensive monocultures and big agribusiness-controlled systems. Second, some norms have been crucial in underlying those policies: (i) the economic but not political inclusion of smallholders and low-income countries; (ii) the pre-eminence of climate and wild biodiversity conservation over other sustainability issues, assuming “renewable” to mean “sustainable” and disregarding the performance of bio-based production on other social and environmental criteria; and (iii) an implicit urban bias that limits rural development strategies and prioritizes the provision of resources to cities. Third, state and private agroindustry agents who espouse those norms have formed winning coalitions to concretize policy beliefs held in common. Ultimately, there are feedback loops between agency, governance architectures, and allocation and access patterns. Therefore, the prevailing production patterns’ very distributive outcomes can be identified as a cause underlying their dominance. As such, social equity reveals to be not just a normative goal but also a key determinant of governance. To not aggravate inequalities and be more sustainable, bioeconomy promotion needs policies that reconfigure allocation patterns and promote structural change.
... Mit CAPRI lassen sich deshalb die Auswirkungen handelspolitischer Massnahmen auf die gleichgewichtigen Preise, die Produktion, den Konsum, den Import und Exporte sowie die gesamtwirtschaftliche Wohlfahrt exante quantifizieren. Das Modell wurde in der Vergangenheit für die Evaluation verschiedener Marktöffnungsszenarien verwendet (Kita und Adenäuer, 2015;Piketty et al., 2009 ...
... This part is linked to a global market model that representsin less detail-international agricultural markets and trade flows. Manifold specifications allow researchers to apply CAPRI to various research fields, such as agricultural markets and trade (Piketty et al. 2009), agricultural policies (Johansson et al. 2007), biofuel policies (Blanco et al. 2013), and environmental policies Himics et al. 2018). Researchers use CAPRI to analyze their topics at different regional scales: EU member states, NUTS2-district scale and EU farm type scales (Gocht et al. 2013). ...
The ambitious climate policy objectives of the COP21 agreement require the design and the implementation of effective and efficient policy instruments. The effectiveness and efficiency of agricultural abatement options depend on regional climate and natural conditions, changes in the global economy, global agricultural markets and regional agricultural production. Thus, the assessment of abatement options requires consideration of the global scale, the market scale and the regional producer scale. We investigate two abatement options discussed controversially in literature. Both have been partially applied to reduce environmental pollution from agriculture: a tax on nitrogen and the obligatory set-aside of agricultural land. Our study provides an assessment of the ecological effectiveness and the economic efficiency of both abatement options under different global scenarios. In our policy analysis we combine three applied policy simulation models to develop an integrated economic model framework. This model framework considers the global, the national and the regional scale and consists of the global general equilibrium model DART-BIO, the partial-equilibrium model CAPRI and the regional supply model RAUMIS. In the different global scenarios, the results show that both abatement options create relatively high marginal abatement costs and that the maximally reached abated greenhouse gas emissions represent only 15% of the quantity required to fulfill the policy targets. Compared to the obligatory set-aside option, the nitrogen tax is in both scenarios the more efficient policy. With respect to impacts on production and environment, a nitrogen tax is less forecastable than the obligatory set-aside option. Our study illustrates the relevance of considering global economic and market change in the assessment of producer-targeting environmental policies.
... The model is continually updated and developed. In the past, the CAPRI model has been used to evaluate the impact of several free trade agreements (Kita and Adenäuer, 2015;Piketty et al., 2009). For instance, the European Commission used the CAPRI model to assess a free trade agreement with Mercosur. ...
Computable equilibrium models play a significant role in ex-ante policy evaluations of free trade agreements. Previously, such models have generally used elasticities from the literature, although those estimates are mostly obsolete or else estimated using different aggregation levels to those used in the models. Furthermore, the same elasticities are used for all countries. These drawbacks highlight the importance of using empirically validated elasticities. In order to demonstrate the extent of the identified drawbacks, we use the Common Agricultural Policy Regionalized Impact (CAPRI) model and empirically assess the Armington and demand elasticities for Switzerland. We then compare the results of a free trade agreement between Switzerland and the European Union with the old and the estimated elasticities derived from the CAPRI model. The results differ remarkably from each other, which supports the importance of the estimated elasticities used in computable equilibrium models in terms of making policy assessments more reliable.
... CAPRI has been intensively used for the assessment of the different Common Agricultural Policy (CAP) reforms (see e.g. Britz et al. 2012;OECD, 2011), but also to address trade policy questions: Piketty et al. (2009) and Burrell et al. (2011) have used CAPRI for the assessment of bi-lateral trade liberalization between EU and Mercosur countries, whereas Renwick et al. (2013) used CAPRI in conjunction with a land use model to investigate the removal of Pillar I and a possible WTO compromise with a focus on land abandonment. ...
The vast majority of domestic support to farmers in the European Union (EU) is notified in the World Trade Organisation (WTO) green box as decoupled payments. The EU considers this support to minimally distort production and/or trade. As demonstrated in the literature, this claim is questionable. This paper aims at analyzing this claim using a global, spatially differentiated, partial equilibrium simulation model with endogenous land supply functions. Comparing a complete elimination of the EU green box measures with a baseline scenario, the model results indicate only small distortionary effects in production and trade. Hence, EU support notified to the green box seems to be compatible with the general requirements of the green box. The finding seems to result from the assumption of unchanged EU border policies.
... This contrasts sharply with the positive spin-off from EU-Mercosur trade liberalisation elsewhere in South America that was picked up in the Diao et al, GE study covering all economic sectors. Piketty et al. (2009) also used CAPRI to examine a number of agricultural trade liberalisation scenarios involving Mercosur. Two of them are called 'EU proposal' and 'Mercosur proposal'. ...
This report presents the simulations made with two different models of two alternative hypothetical versions of a bilateral free trade agreement between the EU and Mercosur. The two versions of the agreement are based on the final negotiating positions of each party in the previous unresolved negotiating round. A global CGE model, GLOBE, simulates the economy-wide impacts of the trade policy changes involving all sectors of the two regional blocks. A global partial equilibrium model, CAPRI
... Although of a simple application even at a very detailed level (since the selection of sensitive products will have to be made at the tariff line level, or 8-digit in the Harmonized System, HS 3 ) they usually do not provide information concerning the impact of the selection on specific groups of stakeholders (notably, the agricultural production sector), nor allow to take into consideration future developments of world markets. On the contrary, this can be done by standard partial or general equilibrium models, but often with a relatively high level of aggregation, although some developments have been made in this respect (Gouel et al., 2010;Pelikan et al., 2010;Ramos et al., 2010;Binfield et al., 2009;Piketty et al., 2009;Gohin, 2008;Grant et al. 2008). To fill this gap, we developed a model, TRIMAG (Tariff Reduction Impact Model for Agriculture), defined at the 8-digit level of the HS, that optimizes the domestic agricultural value added subject to a maximum number of sensitive tariff lines. ...
In a context in which price uncertainty is likely to increase, expected market trends need to be taken carefully into account while negotiating international trade policy rules. This paper aims at analyzing what is their influence on the use of policy flexibilities in the context of WTO agricultural negotiations. In particular, within the market access pillar, we focus on the selection of sensitive products. Our model, TRIMAG (Tariff Reduction Impact Model for Agriculture), defined at the 8-digit level, optimizes the domestic agricultural value added subject to a maximum number of sensitive tariff lines, accounting for various future international price scenarios. Furthermore, we test the use of alternative options for the implementation of “tariff simplification”. Findings confirm that the future expected development of world and domestic prices plays an important role in the selection of sensitive products, and that tariff simplification doesn’t affect the results, if provisions to ensure the neutrality of the exercise are put in place. Furthermore, TRIMAG can be considered as a tariff aggregation tool that can be linked to agricultural simulation models that operate at a higher level of aggregation.
... A number of authors have assessed the potential economic impact of reducing trade barriers for agricultural products between the two country groups (e.g., Bchir et al., 2001;Berrettoni and Cicowiez, 2002;Drogué and Ramos, 2005;Piketty et al., 2009;Weissleder et al., 2008). However, previous studies fall short of addressing two important issues arising in the context of trade with beef products. ...
The European Union (EU) and the Mercosur countries resumed negotiations on trade liberalization in May 2010 after several years of interruption. The article analyzes who stands to benefit and who is likely to lose if the EU liberalizes Mercosur's access to domestic beef markets. This economic assessment is performed using a partial equilibrium model for beef operating at a low level of product aggregation, paying specific attention to the role of Tariff Rate Quotas (TRQs). Consultations with experts from the meat sector allowed us to identify the allocation of the quota rents to different stakeholders. Under an agreement based on the EU's negotiation proposal, trade impacts are projected to be small due to the present quota overfill. As expected, impacts are more pronounced under the conditions set out in Mercosur's proposal. The results confirm that the distribution of quota rents can be decisive in determining welfare effects.
This document is organized into four chapters. The first one includes a brief introduction and a summary of all estimated parameters and projected alternative output baselines for selected commodities produced by the MERCOSUR + 2 region. Chapter II presents a description of both, econometric tools and data sets used to estimate own and cross price elasticities of supply of those same commodities. Methodological approaches vary according to the commodity and/or country since all four research teams involved agreed that there was a need to keep enough autonomy in connection with the quantitative tools to use in each particular instance, so as to choose the most suitable one, given the significant differences in characteristics and availability of data on the one hand and the heterogeneity of production functions and value chain structures, on the other.
The highly integrated nature of the poultry industry in the countries that had included this particular commodity in the study, made it particularly difficult to gather data sets reliable enough to estimate supply price elasticities at this point in the research effort. As a consequence, no estimations for those parameters were made. The authors expect to be able to address this issue and provide those estimates as part of the results to be generated in 2007.
Some of the estimated parameters are not in line with expectations, both in sign and in
magnitude. For instance, the long-run supply elasticity of soybeans estimated for Bolivia
(6.82). The authors argue that, due to the fact that the expansion of the crop in this country coincided with the availability of genetically modified herbicide-tolerant varieties, the driving force behind the growth in the cultivated areas has been a technical change that has made it possible for farmers to crop soybeans in areas where that was not the case before that technology was in the market. This particular set of circumstances has severely limited the ability to control for that explanatory variable in order to isolate price effects.
Chapter III is devoted entirely to reporting on the research done on food demand price and
income elasticities for all six countries. The different sections that make up this chapter
include information on data sets used (household surveys) as well as detailed descriptions of the methodological approaches applied in each case. Empirical specifications are also defined and characterized. Results include estimated coefficients and their statistical significance. Finally, estimated income and own/cross-price elasticities are presented (except for the case of Uruguay, where only own-price ones have been included in the report). Several unexpected results are reported. For some of them, a plausible explanation has been put forward by the authors in the relevant sections. There still remain a few cases for which no arguments are made to account for these unexpected results, although data problems are strongly suspected as the main source. A revision of these figures is expected as part of the 2007 program of activities. The complete set of references corresponding to all chapters has been consolidated at the end of the document. All supply own and cross-price elasticities and food demand own and cross-price and income elasticities, estimated for selected commodities of the Mercosur + 2 countries, are summarized in the following tables, by country (to be read by rows). Following them, projections to 2012 of alternative baselines are presented.
Este estudo busca mensurar os efeitos do acordo entre o Mercosul e a União Européia (UE) sobre a produção, consumo e fluxos comerciais de arroz, milho, soja e trigo nas diversas regiões analisadas. Para avaliar os efeitos deste acordo utilizamos um modelo de alocação espacial apresentado como um Problema de Complementaridade Mista (PCM). Como resultado, o presente estudo identifica as variações no Excedente do Produtor (EP) nos cenários Mercosul-UE e Mercosul-UE ampliada considerando a eliminação das barreiras tarifárias e/ou subsídios. Em termos gerais, os maiores ganhos para os produtores de grãos dos países do Mercosul ocorrem no cenário Mercosul-UE com eliminação dos subsídios por parte dos países da UE. No entanto, salienta-se que, embora os ganhos totais para os países do Mercosul sejam positivos, o setor tritícola apresenta perdas significativas neste cenário.
This paper presents a Bayesian alternative to Generalized Maximum Entropy (GME) and Generalized Cross Entropy (GCE) methods for deriving solutions to econometric models represented by underdetermined systems of equations. For certain types of econometric model specifications, the Bayesian approach provides fully equivalent results to GME-GCE techniques. However, in its general form, the proposed Bayesian methodology allows a more direct and straightforwardly interpretable formulation of available prior information and can reduce significantly the computational effort involved in finding solutions. The technique can be adapted to provide solutions in situations characterized by either informative or uninformative prior information.
Este estudo busca mensurar os efeitos do acordo entre o Mercosul e a União Européia (UE) sobre a produção, consumo e fluxos comerciais de arroz, milho, soja e trigo nas diversas regiões analisadas. Para avaliar os efeitos deste acordo utilizamos um modelo de alocação espacial apresentado como um Problema de Complementaridade Mista (PCM). Como resultado, o presente estudo identifica as variações no Excedente do Produtor (EP) nos cenários Mercosul-UE e Mercosul-UE ampliada considerando a eliminação das barreiras tarifárias e/ou subsídios. Em termos gerais, os maiores ganhos para os produtores de grãos dos países do Mercosul ocorrem no cenário Mercosul-UE com eliminação dos subsídios por parte dos países da UE. No entanto, salienta-se que, embora os ganhos totais para os países do Mercosul sejam positivos, o setor tritícola apresenta perdas significativas neste cenário.
This study identifies the effects of free trade agreements at the multilateral (WTO) and regional (FTAA and MERCOSUR-EU) levels on the bovine meat markets in several regions. In order to evaluate these effects, we used a spatial allocation model, presented as a mixed complementarity problem (MCP). The study identifies the changes in production and consumption levels, as well as the changes in producer and consumer surplus, in four possible scenarios. In general, gains to bovine meat producers in the MERCOSUR countries are expected in all scenarios. Although, these gains are greater when we simulate a multilateral trade liberalization, with or without the elimination of subsidies.
Este estudo identifica os efeitos dos novos acordos regionais de livre comércio sobre os produtores de arroz, no Brasil e nas demais regiões relevantes no mercado mundial. Para analisar os efeitos dos acordos comerciais, como, por exemplo, da ALCA, do MERCOSUL-UE e do MERCOSUL-CAN, desenvolve-se um modelo de alocação espacial e temporal utilizando-se um Problema de Complementaridade Mista (PCM). Em termos gerais, os maiores ganhos para os produtores brasileiros de arroz ocorreram com o acordo MERCOSUL-UE, quando a produção brasileira foi estimulada pelo redirecionamento das exportações argentinas e uruguaias para a UE. No entanto, em virtude das dificuldades nas negociações de livre comércio junto à UE, a segunda melhor opção, MERCOSUL-CAN, apresentou-se como alternativa de ganhos intermediários, mas com maior facilidade de implementação.
Motivated by both economic and political objectives, Brazil has been pursuing, in recent years, different trade arrangements in an attempt to reinforce strategic impulses for economic development. In this paper, alternative strategies of economic integration are evaluated from the Brazilian perspective. Traditional trade gains and losses are considered in a cost-competitiveness approach, based on relative changes in the industrial cost and demand structures. In the first part of the analysis, a national computable general equilibrium model is used in order to assess the first-round impacts of three alternative trade liberalization scenarios. The main findings indicate that general trade agreements under WTO negotiations are preferable to either the implementation of a free trade area in the Americas or regional agreements involving Mercosur and the European Union. However, each trade arrangement would entail differential structural impacts that serve to different development purposes. In the second part, a Machlup-Goodwin-type interregional model is integrated to the CGE model in order to generate a top-down disaggregation of the national results. Spatial implications of the trade policies are assessed, showing that the trade strategies examined are likely to increase regional inequality in the country.
Agricultural trade barriers and producer subsidies inflict real costs, both on the countries that use these policies and on their trade partners. Trade barriers lower demand for trade partners' products, domestic subsidies can induce an oversupply of agricultural products which depresses world prices, and export subsidies create increased competition for producers in other countries. Eliminating global agricultural policy distortions would result in an annual world welfare gain of $56 billion. High protection for agricultural commodities in the form of tariffs continues to be the major factor restricting world trade. In 2000, World Trade Organization (WTO) members continued global negotiations on agricultural policy reform. To help policymakers and others realize what is at stake in the global agricultural negotiations, this report quantifies the costs of global agricultural distortions and the potential benefits of their full elimination. It also analyzes the effects on U.S. and world agriculture if only partial reform is achieved in liberalizing tariffs, tariff-rate quotas (limits on imported goods), domestic support, and export subsidies.
In this paper, we try to evaluate the change in welfare gains and their distribution due to trade liberalization when imperfect information is considered. The results of two versions of a computable general equilibrium (CGE) model, using GTAP database and representing goods as well as capital flows, are compared. In the first one, a standard world CGE approach is followed. In the second version we include risk aversion, imperfect information and production lag in the agricultural sector. After a brief description of the two versions, changes in welfare, represented by the income of two types of household (middle-low and middle-high) in three regions (Europe, United States, Rest of the World) after agricultural trade liberalization are presented. Theoretical and political consequences of the results are discussed.
Ongoing bilateral trade negotiations between the Mercosur group and the EU since 2000 on agricultural products served as incitement to analyse the impacts of possible outcomes. The objective of this paper is to quantitatively assess impacts of bilateral liberalisation scenarios on EU25 and Mercosur markets as well as their bilateral trade flows. For this purpose, the CAPRI model, which has already been applied to several multi- and bilateral trade liberalisation scenarios in the past, has been adopted in several ways. (1) Trading blocks in CAPRI have been expanded so that the Mercosur countries are now represented with country specific behavioural functions and explicit trade flows. (2) The parameters of these behavioural functions have been calibrated using recently estimated supply and demand elasticities (CAP, E. ET AL., 2006) as prior information in a constrained Bayesian framework (HECKELEI, T. ET AL., 2005). (3) Two different baselines scenarios varying in the assumed production potential of the Mercosur countries were defined with experts from these countries. This approach reflects that developments in Mercosur countries are very dynamic with lots of uncertainties. It also provides analysis of results dependent on baselines which is an innovation in CAPRI (technically and qualitatively). In this paper three selected scenarios are analysed. The first scenario reflects an unilateral partial liberalisation between the EU25 and the Mercosur countries by allocating additional Tariff Rate Quotas (TRQs) to the Mercosur countries for certain products based on an official EU proposal (USDA, 2005). The second scenario combines the partial unilateral liberalisation with the multilateral WTO G20 proposal. Sensitive products are defined according to JEAN, S. et al. (2006). The third comprises a bilateral full liberalisation between the EU25 and the Mercosur countries by allowing quota and duty free access in both directions for all agricultural products. The results focus on welfare effects and the market balances of seven key commodities (wheat, maize, rice, soybeans, bovine meat, chicken and pork). Furthermore, a sensitivity analysis on the elasticities of substitution between foreign and domestic produced goods that drive demand of trade flows is provided and shows that the choice of those elasticities is very crucial with respect to model results.
In May 2004, the Mercosur and the European Union made their last offers in their negotiations for trade liberalization aiming to reach a Free Trade Agreement in the near future. In this paper the authors intend to evaluate the impacts of both offers on the Brazilian foreign trade. The estimated results indicate additional exports of 947 million dollars, 40% of which consisting of sales of just one product: ethanol. Nevertheless, the increase in ethanol exports depends on changes in demand provoked by the implementation of a new environmental policy in the European Union. The additional Brazilian imports were estimated in 1,3 billion dollars. The analysis shows that the on going negotiations on goods clearly involve two different agreements: one of an ambitious liberalization for industrialized products and another of a quite restricted liberalization for agricultural processed goods. The unbalanced results would probably worsen if the service sector had been included in the analysis.
[eng] Transportation costs and monopoly location in presence of regional disparities. . This article aims at analysing the impact of the level of transportation costs on the location choice of a monopolist. We consider two asymmetric regions. The heterogeneity of space lies in both regional incomes and population sizes: the first region is endowed with wide income spreads allocated among few consumers whereas the second one is highly populated however not as wealthy. Among the results, we show that a low transportation costs induces the firm to exploit size effects through locating in the most populated region. Moreover, a small transport cost decrease may induce a net welfare loss, thus allowing for regional development policies which do not rely on inter-regional transportation infrastructures. cost decrease may induce a net welfare loss, thus allowing for regional development policies which do not rely on inter-regional transportation infrastructures. [fre] Cet article d�veloppe une statique comparative de l'impact de diff�rents sc�narios d'investissement (projet d'infrastructure conduisant � une baisse mod�r�e ou � une forte baisse du co�t de transport inter-r�gional) sur le choix de localisation d'une entreprise en situation de monopole, au sein d'un espace int�gr� compos� de deux r�gions aux populations et revenus h�t�rog�nes. La premi�re r�gion, faiblement peupl�e, pr�sente de fortes disparit�s de revenus, tandis que la seconde, plus homog�ne en termes de revenu, repr�sente un march� potentiel plus �tendu. On montre que l'h�t�rog�n�it� des revenus constitue la force dominante du mod�le lorsque le sc�nario d'investissement privil�gi� par les politiques publiques conduit � des gains substantiels du point de vue du co�t de transport entre les deux r�gions. L'effet de richesse, lorsqu'il est associ� � une forte disparit� des revenus, n'incite pas l'entreprise � exploiter son pouvoir de march� au d�triment de la r�gion l
Smoking is widely known to affect health adversely. The consequent cost to the publicly funded Canadian health-care system is a matter of considerable policy interest. We consider two core elements of health care: hospitals and physicians. This study, unlike previous Canadian studies, uses the econometric approach to assess these costs. The availability of the 1995 Newfoundland Adult Health Survey makes that application feasible. That survey covers thousands of individuals, providing a snapshot of their socio-demographic, economic, and health characteristics and is linked to the respondents' medical utilization records over a seven-year period. It is estimated that over 12 percent of hospital utilization and approximately 7 percent of visits to physicians are attributable to smoking. The associated annual monetary costs are considerable, approximately 140 per capita.
This paper analyzes the impact on Mercosur of a free trade area in the Americas (FTAA) and a free trade area with the EU. The results show that trade liberalization generates substantial economic gains for Mercosur, although the FTAA option is slightly inferior to that of the FTA with the EU. Hemispheric integration stimulates export specialization in manufacturing industries relative to primary sector industries. Latin America greatly contributes to this result, since exports to this destination have a higher capital and technology content than exports to North America. The FTA with the EU expands agricultural exports.
This paper provides a survey on studies that analyze the macroeconomic effects of intellectual property rights (IPR). The first part of this paper introduces different patent policy instruments and reviews their effects on R&D and economic growth. This part also discusses the distortionary effects and distributional consequences of IPR protection as well as empirical evidence on the effects of patent rights. Then, the second part considers the international aspects of IPR protection. In summary, this paper draws the following conclusions from the literature. Firstly, different patent policy instruments have different effects on R&D and growth. Secondly, there is empirical evidence supporting a positive relationship between IPR protection and innovation, but the evidence is stronger for developed countries than for developing countries. Thirdly, the optimal level of IPR protection should tradeoff the social benefits of enhanced innovation against the social costs of multiple distortions and income inequality. Finally, in an open economy, achieving the globally optimal level of protection requires an international coordination (rather than the harmonization) of IPR protection.
In this paper, we try to evaluate changes in welfare gains and their distribution due to trade liberalisation when imperfect information is considered. The results of two versions of a computable general equilibrium (CGE) model, using the GTAP database and representing goods as well as capital flows, are compared. In the first version, a standard world CGE approach is followed. In the second version, we included risk aversion, imperfect information and production lag in the agricultural sector. After a brief description of the two versions, changes in welfare, represented by the income of two types of household (middle-low and middle-high) in three regions (Europe, United States, Rest of the World) after agricultural trade liberalisation are presented. Theoretical and political consequences of the results are discussed.
Digerindo o colapso de Doha: a alternativa são agora os acordos bilaterais
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Impactos da integração comercial sobre a agricultura familiar no Brasil
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Polí com-erciais regionais, multilaterais e unilaterais do Mercosul para o cresci-mento econô e reduç ao da pobreza no Brasil
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Competitiveness of bovine meat agri-systems Methodology for assessing Merco-sur agri-systems capacity to trade Competitiveness of soybeans agri-systems Argentina Agricultural policy reform in the WTO: the road ahead
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